No, the
One Big Beautiful Bill Actas recently passed and signed into law does not eliminate the Mega Backdoor Roth or the standard Backdoor Roth IRA conversion strategies. However, it's important to note:
- There were previous proposals, particularly within the Build Back Better Act (which did not become law), to eliminate both the Backdoor Roth and Mega Backdoor Roth strategies.
- Some sources suggest that the "One Big Beautiful Bill" may get rid of the Backdoor Roth IRA starting in 2026, and a new retirement account may be introduced to replace the Roth IRA.
- There's ongoing legislative interest in limiting Roth conversions, especially for high-income earners.
- While these strategies remain viable under current law, the possibility of future changes exists.
Therefore, while the "One Big Beautiful Bill" itself doesn't eliminate these strategies, their long-term availability remains subject to potential future legislative changes.
